Russia and China prefer settlements in dollars and euros, rather than in national currencies
The share of the ruble and yuan in foreign trade calculations is gradually falling, giving way to the dollar and the euro. Now it does not exceed 17 percent, that is, less than a fifth of the total turnover. This is evidenced by the analysis of official data of the Bank of Russia.
The weakening of the ruble and the renminbi in 2018 is observed for the first time since 2014. Until last year, the opposite process was observed.
This may seem illogical, because it was in 2018 that the government of the Russian Federation announced the gradual abandonment of the dollar in foreign trade operations. The head of the Ministry of Finance of the Russian Federation Anton Siluanov, commenting on this decision, said that our country is not going to completely exclude the dollar from export-import operations, but plans to significantly increase mutual settlements in rubles and national currencies of partner countries.
In fact, there is an increase in the presence of the dollar and the euro, even in mutual settlements between Russia and China. If in 2017 it amounted to 81,7 percent, then in 2018 it reached 83,1%. Moreover, this growth was achieved due to an increase in turnover in euros. Although the share of the dollar in trade between the two countries fell slightly, volumes in the euro showed a double increase.
Actually, these figures are not particularly surprising. Although common economic governments proclaim the course; business makes the final decisions based on commercial feasibility. Domestic and Chinese businessmen have not yet questioned the liquidity and reliability of the dollar and the euro, and therefore prefer them to national currencies.
It should also be noted that the lion's share of Russian exports is oil, coal and other raw materials, which are traditionally sold and bought in dollars all over the world. Interestingly, transactions are made in dollars even in cases where state companies are involved in them.
The weakening of the ruble and the renminbi in 2018 is observed for the first time since 2014. Until last year, the opposite process was observed.
This may seem illogical, because it was in 2018 that the government of the Russian Federation announced the gradual abandonment of the dollar in foreign trade operations. The head of the Ministry of Finance of the Russian Federation Anton Siluanov, commenting on this decision, said that our country is not going to completely exclude the dollar from export-import operations, but plans to significantly increase mutual settlements in rubles and national currencies of partner countries.
In fact, there is an increase in the presence of the dollar and the euro, even in mutual settlements between Russia and China. If in 2017 it amounted to 81,7 percent, then in 2018 it reached 83,1%. Moreover, this growth was achieved due to an increase in turnover in euros. Although the share of the dollar in trade between the two countries fell slightly, volumes in the euro showed a double increase.
Actually, these figures are not particularly surprising. Although common economic governments proclaim the course; business makes the final decisions based on commercial feasibility. Domestic and Chinese businessmen have not yet questioned the liquidity and reliability of the dollar and the euro, and therefore prefer them to national currencies.
It should also be noted that the lion's share of Russian exports is oil, coal and other raw materials, which are traditionally sold and bought in dollars all over the world. Interestingly, transactions are made in dollars even in cases where state companies are involved in them.
Information